Plans set out for Wadan Yards

Nordic Yards has unveiled its business plan for Wadan shipyards in Wismar and Warnemünde, three months after the yards filed for insolvency.

Nordic Yards has unveiled its business plan for Wadan shipyards in Wismar and Warnemünde, three months after the yards filed for insolvency.

Nordic Yards has unveiled its business plan for Wadan shipyards in Wismar and Warnemünde, three months after the yards filed for insolvency.

Vitaly Yusufov, managing director of the yards" new proprietor said the Baltic yards would focus on specialist vessels for Russian markets.

?The shipyards in Wismar and Warnemünde are among the most modern, most efficient and largest in their class,? Mr Yusufov said. ?I see it as my personal task to place the yards on a long-term, stable financial grounding and win new contracts.?

Over 600 employees have gone back to work at the group"s facilities in Wismar, and 350 more are employed at Warnemünde.

As part of the insolvency proceedings, the majority of Wadan"s 2,400 employees were given interim employment contracts guaranteeing them up to five months work at 75% pay until they find new employment.

A spokeswoman for Nordic Yards said the re-hiring of Wadan"s personnel depended on the new owner"s ability to secure orders for the future. Negotiations are underway with trade union IG Metall over a labour agreement. Nordic Yards wants to create up to 1,600 jobs in the medium term.

?While Wismar concentrates on building large ships with heavy equipment, Warnemünde will focus on the offshore branch,? the spokeswoman said.

Nordic Yards has abandoned the construction of containerships to build icebreakers, tankers, ferries and offshore equipment.

As the sole proprietor and general manager of Nordic Yards, Mr Yusufov said he planned to focus heavily on Russian markets.

His spokeswoman said: ?There is great demand in Russia, and thanks to Mr Yusufov we have good business contacts there.?

Mr Yusufov acquired the bankrupt German yards in August for ?40m ($60m).

The son of former Russian energy minister and Gazprom executive Igor Yusufov, Mr Yusufov spent the last three years running the Moscow office of Nordstream, an international joint venture to build a natural gas pipeline through the Baltic Sea. He previously worked as an advisor to Gazexport, the export arm of the Gazprom group.

Despite over ?200m in government-backed loans, the Wadan shipyards went into bankruptcy in August following several order cancellations.

Earlier this month, Nordic Yards resumed construction of two ships for Swedish ferry operator Stena Line after agreeing on a reduced price. Nordic Yards is completing the job as a sub-contractor for Wadan"s insolvency administrator.